Church & Dwight Case Report

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Church & Dwight: Time to Rethink the Portfolio? |

Case Report |

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Church & Dwight: Time to Rethink the Portfolio?

I. INTRODUCTION

A. EXECUTIVE SUMMARY

1. Summary statement of the problem: For over 160 years Church & Dwight who is better known for its brand name of Arm & Hammer has been the dominate producers of products using Sodium- bicarbonate. The products produced by Church and Dwight can be found in a variety of consumer products in 95% of all American households. Over the years the company has transformed its self into a diverse company that is a leader specializing in household and personal care products resulting in annual sales of $2.5 billion worldwide. This was accomplished by maintaining a market share lead of sodium-bicarbonate products and a string of key acquisitions of more than 80 brands to their consumer products portfolio. By expanding and finding new uses for its sodium-bicarbonate products has resulted in a steady growth and profitability rate of 3-5 percent a year. The company now faces new challenges on how to scout for new avenues of growth and still compete for market share with industry giants such as Clorox, Colgate Palmolive, and Procter Gamble who combined have sales over $100 billion. Church & Dwight also face the challenge of penetrating the international market. While Church & Dwight have enjoyed a great deal of success in North American markets attempts internationally have been met with limited success. Church & Dwight recognizes that expansion into the international markets is still a viable option however the cost of manufacturing products and transportation costs have made it harder to gain ground on their competitors internationally.

2. Summary statement of the recommended solutions: Church & Dwight must recognize the challenges they face in being competive with the giants of their industry. The size of their company has put them at a disadvantage when...